Sustainability in the Global Supply Chain: Perspectives from the Cotton Product Life Cycle

66 Pages·2013·5.233 MB·English

by  Jung E. Ha-Brookshire

FIRST EDITION
Sustainability in the

Global Supply Chain:
Perspectives from the
Cotton Product Life Cycle
Jung E. Ha-Brookshire
University of Missouri
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Library of Congress Cataloging-in-Publication Data
10 9 8 7 6 5 4 3 2 1
ISBN 13: 978-0-13-3140163
ISBN 10: 0-13-3140164
contents
MODULE 1 MODULE 2
OVERVIEW: SUSTAINABLE SUPPLY CHAIN SUSTAINABILITY AND COTTON PRODUCTION
OF COTTON PRODUCTS 3 SYSTEMS 19
Sustainability 4 Sustainability and Cotton Production Systems 20
Definition of sustainability 4 Conventional Cotton 20
Efforts toward Sustainability 4 Conventional Cotton Using Genetically Modified Seeds 20
Sustainable Supply Chain Management 5 Pros of Conventional Cotton 20
Definition of Sustainable Supply Chain Cons of Conventional Cotton 23
Management 6
Organic Cotton 26
Triple Bottom Line Theory 7 Organic Cotton 26
Sustainable Supply Chain Management Theory 7 Pros of Organic Cotton 27
Risk Management 7 Cons of Organic Cotton 27
Transparency 7
Fair Trade Cotton 28
Strategy and Organizational Culture 8 Pros of Fair Trade Cotton 29
Sustainable Supply Chain Management Framework 8 Cons of Fair Trade Products 30
Sustainability and Cotton 9 Other Sustainable Cotton Options 30
Sustainability and Cotton 9 Chapter Review 31
Structure of Today’s Cotton Supply Chain 10 Questions for Review and Discussion 31
The Great Cotton Debate 12 Bibliography 32
Key Terms Surrounding Cotton Production and Sustainability 12
Sustainable Agriculture 13
MODULE 3
Organic Farming 13
Biological Farming / Ecological Farming 14
SUSTAINABILITY AND COTTON PRODUCT
Community-Supported Agriculture (CSA) 14
DISTRIBUTION SYSTEMS 35
Low-Input Agriculture 15
Conservation Tillage 15 Sustainability in Cotton Product Distribution
Life Cycle Assessment (LCA) 15 Systems 36
Challenges Faced by Cotton Supply Chain
Chapter Review 16
Members 36
Questions for Review and Discussion 16
Challenges Faced by Cotton Ginners, Spinners, Weavers,
Bibliography 17 Knitters, and Finishers 36
Challenges Faced by Cotton Product Manufacturers 38
Challenges Faced by Cotton Product Developers and
Retailers 39
Sustainability Efforts Made by Cotton Supply Chain Members 41
Chapter Review 43
Questions for Review and Discussion 43
Bibliography 44
iii
MODULE 4 Bottom Lines for Consumers 54
Consumer Options for Sustainability 54
SUSTAINABILITY AND COTTON PRODUCT Green Consumers 54
CONSUMPTION 47 Organic Consumers 55
LOHAS Consumers 56
Sustianability in Cotton Product Consumption 48
Ethical Consumers 56
Meaning of Sustainability to Consumers 48
Sustainable Consumers and Conscious Consumers 57
Product Labels Focusing on the Environment 49
Upcyclers and Donors 57
Labels Focusing on Social Benefits 50
Willingness to Pay Premiums for Labeled Products 59
Indices Focusing on Both Environmental and Social
Benefits 51 Chapter Review 60
Consumer Concerns Surrounding Sustainable Questions for Review and Discussion 60
Products 51 Bibliography 60
Lack of Clarity and Consistency in Labels and Certifications 51
Transparency Issues 52
Lack of Trust 53
iv contents
preface
Sustainability is a complex concept to teach and more students will be exposed to various issues and per- (cid:116)(cid:1) (cid:49)(cid:80)(cid:88)(cid:70)(cid:83)(cid:49)(cid:80)(cid:74)(cid:79)(cid:85)(cid:1)(cid:84)(cid:77)(cid:74)(cid:69)(cid:70)(cid:1)(cid:81)(cid:83)(cid:70)(cid:84)(cid:70)(cid:79)(cid:85)(cid:66)(cid:85)(cid:74)(cid:80)(cid:79)(cid:84)(cid:1)(cid:74)(cid:79)(cid:68)(cid:77)(cid:86)(cid:69)(cid:74)(cid:79)(cid:72)(cid:1)(cid:81)(cid:83)(cid:80)(cid:75)(cid:70)(cid:68)(cid:85)(cid:84)(cid:1)
research. Since the United Nation’s proclamation of the spectives of sustainability throughout the supply chain and activities applied to real world applications, and
sustainable development initiative in 1987, sustainabil- and gain a comprehensive view of sustainability beyond (cid:116)(cid:1) (cid:41)(cid:74)(cid:72)(cid:73)(cid:1)(cid:82)(cid:86)(cid:66)(cid:77)(cid:74)(cid:85)(cid:90)(cid:1)(cid:70)(cid:89)(cid:66)(cid:78)(cid:1)(cid:82)(cid:86)(cid:70)(cid:84)(cid:85)(cid:74)(cid:80)(cid:79)(cid:84)(cid:1)(cid:85)(cid:73)(cid:66)(cid:85)(cid:1)(cid:68)(cid:66)(cid:79)(cid:1)(cid:67)(cid:70)(cid:1)(cid:83)(cid:70)(cid:66)(cid:69)(cid:90)(cid:1)
ity has been one of the core foci for many businesses, raw material manufacturing. to be incorporated into class setting without any
organizations, and consumers. Yet our initiative on The project to create these modules was awarded modifications.
sustainability is still in its infancy, and teaching our stu- (in part or whole) through a competitive grant presented Download the Instructor Resources from the
dents about sustainability is not easy. These four chap- to me by the Importer Support Program of the Cotton Instructor Resource Center. To access supplemen-
ter modules are intended to help educators provide their Board and Cotton Incorporated in 2011. Although this tary materials online, instructors need to request an
students with a wide and holistic view of sustainabil- program has awarded financial supports, Cotton Incor- instructor access code. Go to www.pearsonhighered
ity throughout the entire cotton product life cycle and porated provided neither input into nor suggestions on .com/irc to register for an instructor access code. Within
supply chain. Although these modules focus on cotton the content of the materials. The contents of these mod- 48 hours of registering, you will receive a confirming
products, given the fact that cotton meets over half of ules were based on my own research and past experi- e-mail including an instructor access code. Once you
the entire world’s demand for apparel, an understand- ences in this topic. have received your code, locate your text in the online
ing of cotton and its sustainability throughout its life I would like to thank Gargi Bhaduri, a research catalog and click on the Instructor Resources button
cycle would help students better understand the com- assistant for these modules, as well as acquisition editor on the left side of the catalog product page. Select a
plex dynamics of sustainability in today’s marketplace. Sara Eilert and her staff at Pearson for all the help they supplement, and a login page will appear. Once you
For this purpose, these four learning modules were have provided me in completing this project. I also would have logged in, you can access instructor material for
created. Module I provides an overview of sustainability like to extend my gratitude to cotton farmers in Missouri, all Prentice Hall textbooks. If you have any difficulties
in the global cotton supply chain, Module II focuses on sourcing executives in Kansas City and St. Louis areas, accessing the site or downloading a supplement, please
cotton production systems, Module III explains sus- and my fellow colleagues at the University of Missouri. contact Customer Service at http://247.prenhall.com.
tainability in cotton product distribution systems, and Without their help and input, these modules would not
Module IV centers on sustainability in cotton product have been completed. Finally, I would like to express Acknowledgements
consumption. These modules are written for students my deepest appreciation to my husband, Richard Brook-
at the sophomore level and/or above who may already shire, for his unselfish support throughout this project. We would like to give a special thank you to the re-
have a basic understanding of the textile and apparel viewers of the manuscript for their input and valuable
industry in general. These modules are designed to be Instructor’s Resources suggestions: Melinda Adams from the University of the
used as supplemental resources rather than replace- Incarnate Word, Byoungho Jin from the University of
ments for existing curricula. Each educator would have The instructor will have access to Pearson Education’s North Carolina at Greensboro, Kathryn Eason from West
an option to adopt all or a selected number of the mod- Instructor Resource Center (IRC), which will provide: Virginia University, Morgantown, Jihyun Kim from the
ules to meet specific instruction needs they may have for (cid:116)(cid:1) (cid:34)(cid:79)(cid:1)(cid:42)(cid:79)(cid:84)(cid:85)(cid:83)(cid:86)(cid:68)(cid:85)(cid:80)(cid:83)(cid:8)(cid:84)(cid:1)(cid:46)(cid:66)(cid:79)(cid:86)(cid:66)(cid:77)(cid:1)(cid:74)(cid:79)(cid:68)(cid:77)(cid:86)(cid:69)(cid:74)(cid:79)(cid:72)(cid:1)(cid:85)(cid:70)(cid:66)(cid:68)(cid:73)(cid:74)(cid:79)(cid:72)(cid:1) Virginia Tech, Blacksburg, and Keunyoung Oh from
different courses. Through this à la carte format, I hope guidelines, Buffalo State College.
v
(Alamy)
OVERVIEW:

SUSTAINABLE SUPPLY
CHAIN COTTON PRODUCTS
OF
LEARNING OBJECTIVES
This module provides an overview of sustainability, cotton and sustainability, and sustain-
able supply chain management for cotton products. To understand sustainability efforts
throughout the supply chain of any product, one must have a clear definition of sustainabil-
ity and sustainable supply chain management. Sustainability issues are important for any
fiber. Cotton, however, is one of the most common and important fibers for clothing, so this
module uses cotton products as an example to illustrate sustainability efforts throughout the
supply chain.
Upon completion of this learning module, you will be able to:
(cid:114) Define sustainability and sustainable supply chain;
(cid:114) Articulate the triple bottom line theory and sustainable supply chain framework;
(cid:114) Understand the sustainability issues surrounding cotton;
(cid:114) Comprehend the historical background of cotton and the role of cotton in today’s
sustainability efforts; and
(cid:114) Recognize terms that describe various sustainable farming techniques.
1
3
Sustainability
What is sustainable? What makes certain products more sustainable than others? What
makes particular behaviors more sustainable than others? There are so many products and
businesses claim their sustainability, we often get confused as to which offering is truly sus-
tainable than others. By tracing every step of cotton fibers before they turn into finished prod-
ucts, such as our cotton t-shirts, these modules discuss the impact of cotton products on
our overall efforts into sustainability. This chapter first discusses definition of sustainability and
sustainability in the global supply chain.
Definition of sustainability
The term “sustainability” recently has become very popular. Businesses use it in promotions
as a way to claim that their products offer new benefits to society or do less harm to the envi-
ronment. Governments also use this term to encourage us to do the right thing for our future
and the Earth. Because different segments of people use this term for different reasons and
with different focuses, we may be confused about what sustainability truly means. As a result,
we tend to examine only one aspect of sustainability without gaining a holistic understanding
of sustainability issues, which are multidimensional and complex.
The word “sustainability” is derived from the Latin sustinere (tenere, to hold; sus, up).
Oxford Dictionaries uses words such as “maintain,” “conserve,” “support,” and “bear” to explain
the terms “sustain” or “sustainable” (Oxford Dictionaries, 2010). Since the 1980s, “sustainabil-
ity” has been widely used in the context of all human existence on Earth, which has limited
resources for the future well-being and survival of humans. After long decades of growth, pro-
duction, and expansion after World War II, people in developed economies started questioning
the fast growth of the world population, which was expanding at an unprecedented rate, and
the lack of resources available to meet future needs. To address these questions, on March 20,
1987, the Brundtland Commission of the United Nations (UN) published a document called “Re-
port of the World Commission on Environment and Development: Our Common Future.” Since
then, this document’s definition of sustainability has become the most widely accepted one.
According to the UN report, sustainable development is “the development that meets the
needs of the present without compromising the ability of future generations to meet their own
needs” (United Nations General Assembly, 1987). Following this definition, the UN report em-
phasized that sustainable development must consider the needs of the world’s poor and the
limited resources on Earth to meet their basic needs (such as food, clothing, shelter, and jobs).
Efforts toward Sustainability
According to the UN’s definition, sustainability includes people, environment, and global soci-
ety. Sustainable development challenges the assumption of economic development dominant
before the 1980s—that is, that economic growth is the most important factor for our lives and
economies. Now that we are taking into account sustainability and the ability of future genera-
tions to meet their needs, businesses have to consider changes in the physical eco-system
before executing any economic growth projects. Under the economic growth model, building
new houses in a forest area, for example, made sense because growth of available housing
was important. Under the sustainability model, however, this could disturb biodiversity and
4 chapter 1
FIGURE 1.1 Workers salvage building materials from a home being “deconstructred”.
(Alamy)
create negative ecological effects in that area. Thus, to accommodate both economic and
sustainability goals, builders may need to reuse existing land and keep the forest as a man-
aged resource for future generations. In addition, businesses now must evaluate ways to re-
duce overall consumption on Earth or at least to decrease the depletion rate of nonrenewable
resources, such as fossil fuels and minerals. Further, businesses also need to consider con-
serving plant and animal species to maintain eco-diversity when developing land, constructing
any new buildings, or planting crops.
Beyond the natural environment, sustainable development also emphasizes the way in
which people develop and distribute their wealth (United Nations General Assembly, 1987).
According to the UN, sustainable business practices focus on reducing the gap between the
rich and the poor, in part, by helping the poor meet their basic needs of food, clothing, and
shelter. Thus, fair labor practices in developing countries, technology, and technology trans-
fer from developed to developing countries are all part of our efforts to be sustainable. All of
these efforts require changes in the way we exploit natural and human resources, make direct
investments, develop technology, and live our everyday lives in order to meet both current and
future human needs and aspirations.
Sustainable Supply
Chain Management
The concept of sustainable development has also affected how we analyze and manage our
businesses. Because most of today’s businesses involve multiple business partners—as raw
material suppliers, producers, or consumers—from all over the world, it is complex and dif-
ficult to include the goal of sustainability in supply chain management and to consistently
assess performance for the overall supply chain. However, business, academic, and gov-
ernment communities all agree on one point with regard to sustainability performance as-
sessment: We must examine the overall impact of a product (or service) on the environment
Overview: Sustainable Supply Chain of Cotton Products 5